The UK economy shrank by 0.3% during the three months between August and October as soaring prices hit businesses and households, according to the latest figures from the Office for National Statistics (ONS).
The UK is widely expected to be in recession by the end of this year.
David Bharier, Head of Research at the BCC, said: “The monthly growth in GDP for October of 0.5% is overshadowed by the underlying three-month trend revealed by the data, which shows a contraction in the economy of 0.3%.
“As September’s figure was depressed by the Bank Holiday for the Queen’s funeral, October’s data was always likely to show a comparative improvement.
“But the BCC’s latest quarterly economic forecast expects the UK economy to be in recession for five consecutive quarters.
“Business confidence has been falling dramatically as firms face into a wall of higher prices and energy bills, increased taxation, and rising borrowing costs.
“Unless the Government helps create a stable environment to allow businesses to invest, the UK faces a long-term loss of competitiveness.
“Businesses need to see concrete action to resolve the immediate disruptions facing the UK economy, such as soaring energy costs and the burdens in our trading relationship with Europe.
“They also need to see a long-term plan on infrastructure, skills, trade, and green innovation.”
Join Somerset Chamber of Commerce to give your business a stronger voice both locally, regionally and nationally. Combined with local town chambers, we represent over 2,000 businesses across Somerset with a direct line to policy-makers at all levels.
